Prop 30 tax hikes pass in California

A $6 billion-a-year package of tax increases backed by Gov. Jerry Brown has passed in California, the Associated Press reported on Wednesday morning.

Brown has made the tax package, Prop 30, the centerpiece of his administration. It would raise the sales tax by a quarter of a cent for the next four years, and increase taxes on those making more than $250,000 for the next seven years. Brown argued the package of tax hikes was needed to prevent a devastating series of cuts to the state’s public schools and universities.

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“I know a lot of people had some doubts and some questions: Can you really go to the people and ask them to vote for a tax?’” Brown said at a rally for supporters Tuesday night, according to the San Jose Mercury News. “Here we are. … We have a vote of the people, I think the only state in the country that says, ‘Let’s raise our taxes, for our kids for our schools, and for our California dream.”

Public employee unions strongly backed the tax measure, helping raise a large chunk of the $40 million spent to back the tax increase. A rival tax increase bill pushed by wealthy attorney Molly Munger was headed for an easy defeat, according to the Los Angeles Times.

Californians started a tax revolt in the late 1970s, and Brown’s measure was the first tax hike approved by the state’s voters in two decades, according to the Mercury News.

Readers' Comments (13)

Californians are certifiably crazy. Prop 30 isn't going to do a thing to relieve the deficit because union-dupe Jerry won't admit that we simply can't afford to continue paying for outrageous pension plans. How can anyone be so easily led into further financial disaster?

Californians knows there is no free lunch unlike stupid old white guys who post all the time on Politico who think you can never raise taxes. in the long run it's good for your schools and cheaper than sending your kids to private schools. We are all tired of retired Republican tea baggers who benefited from all the liberal programs like medicare, SS and Government and union pensions but don't want their kids to have them You people are oxymoron. As for leaving Ca. don't let the door hit you in the ass on the way out.

Nov. 7, 2012 - 11:05 AM ESTCalifornians knows there is no free lunch unlike stupid old white guys who post all the time on Politico who think you can never raise taxes. in the long run it's good for your schools and cheaper than sending your kids to private schools. We are all tired of retired Republican tea baggers who benefited from all the liberal programs like medicare, SS and Government and union pensions but don't want their kids to have them You people are oxymoron. As for leaving Ca. don't let the door hit you in the ass on the way out.

As a Californian, all I can say is I can't wait until the special interests who voted for this to be hit with the tax. Many, many teachers in CA make $75k-100k, and if they're married to a cop, they're easily taking in 250k. Meanwhile, our kids will never see a dime of this money.

As for the universities, we knew that Brown had to find some way to pay for his Dream Act of allowing illegal adults to take coveted spots at Berkeley, UCLA, etc. and give them a 100% free ride on the taxpayers' buck.

Regard with awe, America, how corruption works in the most liberal state in the country.

The money from Prop 30 has ALREADY BEEN SPENT -- what they extract from you will only go to pay some of those bills as they come in.

However, that's YOUR problem. My family hui pulled out of the Democratic People's Republic of California before you thieves could steal any more of our kids' money. The one household currently in the state is temporary (their daughter is doing voiceover work for Disney and some commercials), and spends as little as possible there. They stay in the state less than 5 months at a time, thus maintaining their Nevada residency (and income tax exemptions).

When asked to appear in an ad done in favor of Prop 30, the immediate response from this akamai na akamai young lady was "14 is my AGE, not my IQ!"

This means that those businesses will not have money to give them pay raises, to hire more workers, to buy newer equipment, increase benefits, or in some cases to simply STAY in business.

When on the mainland, I am usually in Nevada, which is one of the places of refuge sought by small businesses fleeing the DPRC (as my family hui did a couple of years ago). The state has actually LOST tax income by raising taxes to the point where it is cost-effective to move assets and operations to Nevada and Arizona.

Many years ago, when I was transferred from Luke AFB near Phoenix to George AFB (northeast of Los Angeles), there was nothing on I-10 between Quartzsite (AZ) and Blythe (CA). Look now, and all of the development is being done on the Arizona side of the river, with distribution centers and light-to-medium manufacturing companies which used to be in southern California.

J Rockwell, my wife's aunt and uncle (considerably wealthy), left Cali when Brown was elected and moved back to AZ. The state seems to be on the fast track to self destruction. The prosperous can leave while the needy will be left holding the bill.

To wake up to a retroactive income tax increase and more sales tax, what to say. What we are seeing is something being under reported is the biggest transfer of wealth in the country from the producing class to public employee unions and their bosses. The true irony is a good amount of these people will retire in their 50's with their bloated pensions and lifetime free health benefits to other western states that have much lower taxes. Even worse, is what the state calls "pension reform" which is protecting what every current employee gets by selling the next generation of hires totally down the river. Pure greed from current employees and their bosses. If you took a poll of current state retirees, most would agree to some give backs for the health of the state. It is the current generation of greed that is sickening, and just to be clear management is just as guilty as the unions.

Celebrating almost as much as the union heads are real estate developers in Colorado & Wyoming.